More than $97.6 million available for small business through
Florida’s State Small Business Credit Initiative and private financing

TALLAHASSEE - Today, the Florida Department of Economic Opportunity (DEO) announced that the Florida State Small Business Credit Initiative’s (SSBCI) has deployed more than $31 million in program funds and leveraged more than $138 million in private financing for small businesses in Florida. The program has thus far helped create 848 jobs for Florida families.  Administered by the DEO’s Division of Community Development, in partnership with Enterprise Florida Inc, the SSBCI program provides much-needed access to capital for small businesses. To develop the SSBCI program, Florida allocated funds to create the following small business lending programs: the venture capital program, the loan participation program, the loan guarantee program, and the capital access program. The SSBCI program is the first state lending program that is dedicated specifically to Florida small businesses.

“Small businesses are the bedrock of Florida’s economy, comprising 99 percent of all businesses in the state. To grow and create jobs, these businesses need access to capital. During the recession, the credit markets became inaccessible and the SSBCI program is an effort to alleviate the credit crunch,” said DEO Executive Director Jesse Panuccio.  “With access to capital, Florida’s small businesses can continue to create jobs that sustain our state’s families and make this the best state in which to live and work.”

Florida’s SSBCI programs support state-level, small-business investment through loan participations and loan guarantees, as well as venture capital investments. The SSBCI program enhances private financing for creditworthy small businesses, making it easier to obtain the loans they need to expand and create jobs. Financial institutions are able to offset their risk by participating in these credit enhancements. For instance, a typical loan guarantee or loan participation will range from five percent to fifty percent of the total loan.

“Small businesses should take notice that Florida’s economic development team is committed to helping small businesses grow and thrive,” stated Director Panuccio. “We look forward to continuing our successful partnership with Enterprise Florida, Florida First Capital, and Florida Opportunity Fund and thank them for their unyielding commitment to growing Florida’s economy.”

The funding for the program is dispersed in three increments. The first disbursement was provided August 24, 2011, and the second was provided on June 19, 2013. Each disbursement is contingent upon Florida obligating at least 80 percent of the funds provided from the previous year. The program has successfully obligated these funds, and is looking forward to the success the 2013 allotment will bring to Florida small businesses.

Chandler & Campbelle Investment Group, LLC has been a Florida corporation since 2009, and has benefitted greatly from the SSBCI program. The company specializes in providing professional management consulting services to government, nonprofit agencies, and commercial organizations. With the aid of SSBCI funding, and BAC Funding Consortium Inc., Chandler & Campbelle has been able to win additional contracts and has been nominated for numerous awards of achievement. The company’s growth has included the addition of 21 new jobs.

Jessie Houston, Comptroller for BAC Funding Consortium, Inc. stated, “The SSBCI program uses a streamlined documentation process that is clear and concise. It does not micromanage its requirements, but allows the lender to use its processes and procedures to monitor and service the loan.”

Loan and investment programs are available to small businesses and non-profits seeking capital for business purposes, which may include startup costs, working capital, business procurement, franchise fees, equipment, inventory, construction, or improvements to name a few. An eligible small business may have up to 500 employees and must be located in Florida. Businesses interested in participating in SSBCI are encouraged to contact their small business lender. Financial institutions interested in participating in SSBCI can visit: www.eflorida.com/ssbci.

About SSBCI

Florida was allocated more than $97.6 million by the U.S. Department of Treasury to implement the State Small Business Credit Initiative, a federal initiative of the U.S. Small Business Jobs Act of 2010 that encourages states to establish or strn engthestate programs that support lending to small businesses. SSBCI funds leverage private lending to help finance small businesses that are creditworthy, but are not getting the loans they need to expand and create jobs. SSBCI funds are expected to leverage close to $1 billion in private lending to Florida small businesses. For more information, visit http://www.floridajobs.org/business-growth-and-partnerships/for-businesses-and-entrepreneurs/business-resources/state-small-business-credit-initiative.

About DEO

The Florida Department of Economic Opportunity combines the state’s economic, workforce and community development efforts.  This new approach helps expedite economic development projects to fuel job creation in competitive communities.  For more information, including valuable resources for employers and job seekers, please visit www.floridajobs.org.

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